Bridging the Gap: Assessing Social Protection for Platform Workers in China's Digital Economy

In recent years, the global digital platform economy has witnessed remarkable growth, yet it now confronts the challenge of the inequality-growth nexus. An increasing number of platform workers, lacking social protection, are excluded from existing social insurance programs intended for standard employment relationships. This urgent issue underscores the necessity for adequate and sustainable social protection for platform workers (ILO, ISSA, & OECD, 2023).

In China, which hosts the world's largest digital labor market, platform workers play a vital role in the development of this economy. However, their exclusion from contribution-based social insurance schemes poses a threat to sustainable economic growth and social stability. Since 2020, the central government has intensified efforts to compel local governments to meet their responsibilities in providing social protection for these workers. Some local authorities have started allowing platform workers to join existing social insurance schemes as “flexible employees.” Despite this progress, the response from platform workers to this “innovative” policy has been lukewarm, resulting in low enrollment rates.

This study evaluates the implementation of the policy and investigates the barriers to enrollment through interviews with nearly 200 platform workers in selected cities. This research not only deepens our understanding and dialogue surrounding social protection for platform workers but also carries significant policy implications for developing countries that are navigating welfare system reforms in the digital age.